UK - Delta Two must inject more equity to have a chance with Sainsburys

Delta Two has been told it must be prepared to put in more equity if it wants to have a chance of acquiring Sainsburys, the UK supermarket chain. London-listed Sainsbury is 18% held by the Sainsbury family who are demanding assurances that Delta Two will up the proportion of equity in its proposed £10.6bn bid. The news comes amid turmoil in the debt markets, with advisers suggesting that the current £6bn level of debt is too high. Without the support of the family, a deal will struggle to be approved by shareholders.